AN OVERVIEW OF THE SECTOR
- Bangladesh’s power sector has emerged as a beacon of growth and opportunity in South Asia, experiencing an unprecedented surge in capacity addition and electricity consumption in recent years.
Between 2012 and 2018, generation capacity soared from 5% to an impressive 28%, reflecting the nation’s robust economic expansion. Driven by a rapidly growing industrial sector, which recorded a remarkable 12.06% growth in FY17, Bangladesh’s electricity demand is projected to reach 50,000 megawatts (MW) by 2041. To meet this rising demand, the
government is pursuing ambitious power generation plans, aiming to secure $127 billion in investments through domestic and foreign partnerships.
However, the energy sector faces significant challenges, including an overreliance on imported fossil fuels due to limited domestic investment in sector development. Despite substantial natural gas reserves, insufficient drilling has forced the country to depend on imported liquefied natural gas (LNG). While Bangladesh has made commendable progress in expanding electricity access—with over 80% of the population now connected—issues like load shedding and low—voltage supply persist, particularly in rural areas. These disparities highlight the urgent need for inclusive policies that prioritize energy transition models and bridge the socio—economic divide. As Bangladesh charts its energy future, achieving sustainabledevelopment will depend on ensuring equitable access to power so that all citizens benefit equally from progress.
